M3M eyes Rs 8,300 crore from Elie Saab-branded residences in Gurugram, Noida

NCR-based real estate developer M3M India has partnered with Lebanese designer Elie Saab to develop two luxury residential projects, one each in Gurugram and Noida, at a cost of Rs 3,500 crore. The company has pegged the revenue potential from the two projects at Rs 8,300 crore.

The Gurugram project, located in Sector 111 on the Dwarka Expressway, will have 300 residences, comprising four-bedroom apartments with layouts ranging from 4,200 sq. ft. to 4,650 sq. ft.

“The starting price is about Rs 15 crore... The total investment that goes into the project is Rs 2,000 crore, including the land and construction cost. The revenue potential of the project is Rs 4,700 crore. The price per square feet is Rs 37,000,” Pankaj Bansal, Promoter, M3M India and Founder, Smartworld Developers, told reporters.

The realty firm also announced Elie Saab branded residences in Noida under the Smartworld brand. Spread across 6 acres, the development will comprise 200 3-and 4-bedroom residences ranging from 2,850 sq. ft. to 3,810 sq. ft. and priced at Rs 9 crore and Rs 12.5 crore, respectively. “Total investment in the Noida project is Rs 1,500 crore. The top line of the project is Rs 3,600 crore. The price per sq ft is about Rs 33,500,” Bansal said.

The real estate developer is betting big on branded residences. Elie Saab marks M3M’s third tie-up for branded residences after partnerships with Trump Towers and Jacob & Co. “Branded residences give us the edge in terms of selling it faster,” Bansal tells Business Today on the sidelines of the press briefing.

“Trump Towers in Gurugram is very different from projects which people have seen in Delhi-NCR. That has given confidence to the buyers and investors that branded residences are the way to go. The second Trump Tower in Gurgaon was sold out in 5 hours,” Bansal says.

“Our second branded residence project was with Jacob & Co in Noida. Even before we announce the project in October, the tower with bigger-sized apartments of about 6,000 sq. ft. was sold out,” he adds.

The realty tycoon says homebuyers are opening up to brands that give attention to detail, services, amenities and curate the whole experience. “I feel buyers are excited and this market will continue to grow,” he says.

M3M is aiming to grow its luxury home portfolio three times by the end of 2026, says Bansal. “Post-Covid-19, people have realised the essence of home. Home is one place where you spend the maximum time. Covid-19 gave that clarity to people who were living in smaller homes that house is an important asset which also gets transferred to the next generation. So, a 2BHK owner wants to move to a 3BHK and 3BHK owner wants to move to 4BHK,” says Bansal.

On recent softening of sales in the real estate industry, Bansal says sales have slowed down for developers who have not delivered. “What happened after Covid-19 was real estate was growing so there were new-age developers who came to the market and started selling without any experience of delivery. Sales have largely slowed down for those developers and for those projects where prices are high. There is a difference between high price and right price. If in a buyers’ market, it is high price, it will not sell,” Bansal explains.